Nokia mulling entering laptop industry
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Nokia mulling entering laptop industry

By SiliconIndia   |   Thursday, 26 February 2009, 09:16 Hrs   |    1 Comments
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Helsinki: The world's top cellphone maker Nokia is planning to try a hand at laptop business.

"We are looking very actively at the opportunity in laptop business," Chief Executive Olli-Pekka Kallasvuo said in an interview to Finnish national broadcaster YLE.

Though the Industry has been rumoring about Nokia's possible plan to enter the PC industry since late last year, but Kallasvuo's comment was the first official admittance of such plans.

"We don't have to look even for five years from now to see that what we know as a cellphone and what we know as a PC are in many ways converging," Kallasvuo said.

"Today we have hundreds of millions of people who are having their first Internet experience on the phone. This is a good indication," he said.

Nokia's comments come a week after No 3 PC brand Acer launched a foray into the phone business with eight cellphone models, joining leader Hewlett-Packard and No. 4 Lenovo in the high-growth space.

While strong profit margins in the smartphone industry attract PC brands, the attraction of the low-margin computer industry is less obvious.

"Nokia maybe nervous about entering a market segment that is already heavily commoditized, but it would be in a position to exploit its enormous scale in manufacturing, supply chain and distribution," said Ben Wood, research director at CCS Insight.

The global PC industry was resilient for most of last year when other technology sectors were ailing, but it too has now been caught up in the deepening recession that has hit demand from consumers and corporate buyers.

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Reader's comments(1)
1: This is going to be a threat for bug giants like Dell, HP and other players. If Nokia enters I am sure it will be a tough time for people like acer.
Posted by:Yasir - 26 Feb, 2009